[dionidium]

> In high value markets, that means a homeowner could make over $1M without risking, or spending, a dollar. Under normal circumstances, this would be too good to be true, but that’s how crazy the housing market has become. SB9 represents a $6T (!) opportunity in California alone.

This hits on something really important. There's a lot of talk in housing circles about how "greedy homeowners" block new supply to increase the value of their homes, but this is a bit confused. Blocking supply can be good for landlords, in some cases, who command higher rents in constrained markets, but it's not clear why that's good for homeowners; the value of the land underneath their houses increases in value because it's in high demand and, crucially, the land remains desirable even as density increases [0]. Upzoning increases the value of a lot, because it means the lot is more attractive to developers. And lot-splitting gives homeowners a tool for unlocking that added value that doesn't require them to sell their land and move to a cheaper market. For existing homeowners, upzoning is an opportunity, not a cost.

[0] This is why upzoning can reduce the cost of individual units even as it increases the value of the land underneath those units. That's a win-win.